Know The Impact Of Interest Rates On Purchasing Power
The interest rate you secure when buying a home not only greatly impacts your monthly housing cost, but also impacts your purchasing power.
Purchasing power, simply put, is the amount of home you can afford to buy for the budget you have available to spend. As rates increase, the price of the house you can afford to buy will decrease if you plan to stay within a certain monthly housing budget.
The chart below shows the impact that rising interest rates would have if a buyer planned to purchase a $300,000 home while keeping his/her principal and interest payments between $1,520-$1,533 a month. With the interest rate going up buyer cannot afford that house anymore and has to go with the lower priced homes.
If you are considering buying a home, act now to get the most house for your hard-earned money!
Author:Brian Hargrove Phone: 919-830-5233 Dated: February 23rd 2019 Views: 778 About Brian: ...
View our latest blog posts in your RSS reader. Click here to access.
Grow Local Realty is a full service Raleigh NC Real Estate Company servicing Raleigh, Durham, Cary, Apex, Holly Springs, Clayton, Fuquay Varina, Garner, Wake Forest, Chapel Hill and all other Triangle areas including all of Wake County, Johnston County, Durham County, Orange County, Chatham County and Harnett County. We are dedicated to extraordinary customer service and are here to represent you with your next home purchase or the sale of your current home. Allow one our fantastic agents to assist you with your Raleigh NC Real Estate search.
Raleigh, Durham, Chapel Hill and surrounding areas continue to be red
" Leanna Carter fulfilled the expectations I was looking for in a realtor; responsive, accommodating, provided realistic and honest feedback, led me through the entire process. As a single person buying in a most aggressive market, no stone was left unturned. Our personalities were a match - so important. When we both walked into the house which is now home, we both knew it was "the one" for me. Thanks Leanna for all the hard work, the miles, endless effort."